➡ Launch of Vision Document – MeitY’s 1000 Days Action Plan for ESDM Sector
➡ To Increase India’s Electronics Exports and Share In Global Value Chains (GVC’s)
➡ Electronics Industry presents a 1000-Days Roadmap
New Delhi, 2nd November 2021: Inspired by the Honourable Prime Minister’s clarion call to increase exports and share in GVCs, the Electronics Industry, in collaboration with the Ministry of Electronics and Information Technology (MeitY) released a Vision Document on the specific steps needed to reach this goal, in 1000 days.
In his address to the Heads of Indian Missions on 06 August 2021, as well as his Independence Day speech on 15 August 2021, the Prime Minister, while citing the success of smartphone manufacturing, urged stakeholders to increase exports and share in GVCs, by making products made in India, globally competitive.
The Vision Document released by India Cellular & Electronics Association (ICEA) in collaboration with MeitY – titled ‘Increasing India’s Exports and Share in Global Value Chains’ – is a call to action which analyses the challenges and outlines key success factors for increasing electronics exports, while benchmarking against competing nations. It makes recommendations to increase scale, competitiveness and domestic value addition over the next 1000 days.
Shri Rajeev Chandrasekhar, Hon’ble Minister of State, Ministry of Electronics & IT and Skill Development & Entrepreneurship is releasing the vision document titled ‘Increasing India’s Electronics Exports and Share in GVCs – towards Atmanirbhar Bharat’ and said, “The Prime Minister’s mandate is crystal clear. We are preparing a 1000-day plan to broaden and deepen electronics manufacturing, exports and share in GVCs. This Vision Document will be a critical input in policymaking. It highlights the collaborative effort between industry and government for meeting Prime Minister’s vision. To make India stand out as an electronics export & manufacturing hub globally, the focus has to be on building scale and exports through GVCs established by lead firms and their tier 1, 2 and 3 manufacturers. These firms bring the requisite experience and train the local manpower. They also bring with them the experience of setting up production, production processes, operating high-tech manufacturing with customized machinery, and supply-chain procurement experience.”
The Vision Document is the first of a two-part series. The second volume will present productwise strategies and forecasts as part of the campaign to build a US$1 trillion Digital Economy, in pursuit of reaching US$5 trillion GDP.
Pankaj Mohindroo, Chairman, India Cellular & Electronics Association said “We need tactical and strategic steps for each product line to build India’s competitiveness to meet the Honorable PM’s vision. Government and industry need to collaborate seamlessly in this effort without wasting a minute. We know the issues and the solutions. It’s time to implement.”
The Vision Document makes recommendations on short-term (1-4 years) and long-term (5-10 years) strategies to increase electronics exports from India, shift the ecosystem as part of capturing the China+1 investments, and expand exports by increasing competitiveness and scale. The Document critically analyses the impact of tariffs on inputs on India’s competitiveness and makes specific recommendations given the goals set by the Prime Minister.
The Vision Document also emphasises the strategies to build Domestic Champions and the need for linking their products with Lead Firms and GVCs. It seeks to protect Domestic Champions from unfair trade practices while requesting policy support in the areas of financing and design development. The Vision Document explores in-depth, the linkages between scale, exports and Domestic Value Addition in electronics. It identifies key electronic products, namely mobile phones, IT hardware, hearables / wearables etc, which provide the highest potential for exports, given massive global demand for these products. India must continually address disabilities vis-à-vis China and Vietnam, without letting new ones creep in. It recommends an alignment consistent with WTO trade practices and lauds schemes such as PLI and RoDTEP. It emphasizes the need for an early review of high tariffs on inputs, and avert operational burden and delays while focusing on a stable policy regime and timely implementation. It also outlines the areas of strengthening Centre-State coordination to meet the goals outlined by the Prime Minister.
